The betting exchange, Betsson.com valued at SEK 590 million (£44.2 million)
Cherryföretagen AB (publ) (Cherry) currently owns 71% of Betsson.com and will
now, according to plan, acquire the outstanding 29% of shares worth SEK171 million
(£12.8 Million). The value of the outstanding shares in Betsson.com is based on the
market valuation that has now been completed. The value has been determined by two
independent parties; Öhrlings Price Waterhouse Coopers and ABG Sundahl Collier,
which established the average market value of the company at SEK 590 million (£44.2
Million). This means that Cherry has invested a total of SEK 203 million (£15.2 Million)
in the acquisition of Betsson.com.
Betsson.com, who offers a betting exchange, casino and poker, has been experiencing
very positive growth. At present, the company has over 100,000 members.
Cherry became a partner in Betsson.com while the company was still in its early stages of
development and was able to reach an option agreement with favourable terms. The agreement
includes several different convertible loans and options. This means that Cherry has invested a total of
SEK 32 million (£2.4 Million) to obtain a 71% ownership in the company.
On February 17, 2005, Cherry also called-in its options in order to acquire the remaining 29% of
Betsson.com, at market value. The shares will be paid through a targeted new issue of 6,855,000 Bshares,
valued at SEK 25 (£1.87) per share. Cherrys Board of Directors has decided to call an
additional annual general meeting on April 18 to propose the new issue to the shareholders. The
proposed share issue means a dilution effect of 22.0% of the share capital and 8.4% of the number of
votes.
For further information, please contact:
Pontus Lindwall, CEO and Group Manager, Tel: +46 (0)8-556 967 10, +46 (0)708-27 51 55,
[email protected]
Chris Duncan, Betsson Ltd, Tel +44 (0) 7802 442 414
[email protected]